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Consider the Regression Equation = B0 + B1xd with B1

Question 43

Multiple Choice

Consider the regression equation Consider the regression equation = b<sub>0</sub> + b<sub>1</sub>xd with b<sub>1</sub> > 0 and a dummy variable d.If d changes from 0 to 1,which of the following is true? A) The intercept increases by b<sub>0</sub> + b<sub>1</sub>. B) The intercept increases by b<sub>1</sub>. C) The slope increases by b<sub>0</sub> + b<sub>1</sub>. D) The slope increases by b<sub>1</sub>. = b0 + b1xd with b1 > 0 and a dummy variable d.If d changes from 0 to 1,which of the following is true?


A) The intercept increases by b0 + b1.
B) The intercept increases by b1.
C) The slope increases by b0 + b1.
D) The slope increases by b1.

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